NSE Set to Transform India's Commodities Trading Landscape

The National Stock Exchange of India (NSE) is set to expand its commodities segment by introducing new contracts, focusing on non-agri commodities. With 240 members already active, the NSE aims to strengthen its market position and potentially double its market cap to USD 12-13 trillion in the next decade.

The National Stock Exchange of India (NSE) is planning a major expansion in its commodities segment by rolling out new contracts over the coming months. Officials disclosed that the focus will be on non-agri commodities, leveraging NSE's vast reach and financial clout to make a mark in commodities trading.

The exchange sees significant growth potential in this area, considering that the commodities market remains relatively small compared to equities. In nations with mature economies, commodity markets often surpass equities in scale, providing vital support to agriculture, manufacturing, and infrastructure industries.

Additionally, NSE's leadership anticipates that the market capitalization of companies listed on the exchange could double within the next decade, fueled in part by India's robust economic growth. This optimism is bolstered by the expectation of new unicorns entering the market, increasing the value of NSE’s platform.

(With inputs from agencies.)